How to handle the budget objection

How many times have you made your pitch, only to hear your customer say “we don’t have the money to buy anything right now,” or, “it’s just not in the budget.” This common objection doesn’t need to be the end of the conversation. In fact, that can be your cue to go in for the close! Here we’ll explore some tips for what to say after you hear this objection and win the meeting.

Go for the appointment

Think about what’s happening in the customer’s world when they receive a call from you that they’re not expecting. They could be stepping into a meeting, leaving for lunch, or in the middle of an email they need to focus on. Rather than trying to sell the upgrade to the customer right then and there, instead focus on booking a meeting so that you get the customer's undivided attention during a call they’re expecting from you, because you’ve booked time on their calendar in advance.

Ways to handle the “no money” objection

When trying to book the meeting, you may still hear: “We don’t have money to buy anything right now,’ or, “It’s just not in the budget.” Here are some direct ways to respond to this objection:

1. Use Humor

During one of our Blitz workshop role-play exercises with a sales rep, we used the objection, “I don’t have any money,” to which the sales rep replied, “Well neither do I, that’s why I’m calling you!” He said he actually uses this technique and it works most of the time, because he gets the customer to laugh, thus letting their guard down and allowing him to get the appointment.

2. Propose a discovery meeting

A more serious way to handle this objection could sound like this:

Customer: It’s not in our budget right now.

Sales Rep: “In that case, now is the perfect time to meet, before you’re even in the market, so we can take the time to learn more about your organization and determine if we can add value. Why don’t we just schedule a time at 10:15 on Thursday so I can learn more about what you’re trying to accomplish?”

Customer: “Okay, see you then.”

3. Offer payment plans

Another way to handle the “no money” objection goes like this:

Customer: “We don’t have any money.”

Sales Rep: “Actually, we have several payment plans that may make our offer quite affordable. Why don’t we chat next Tuesday at 2:15, and I’ll share some of the amazing results our clients have had?”

Customer: “Okay!”

With the budget objection there are many ways you can go. You can discuss payment plans, leasing options, no money down, 90 day payment, and other terms that may make your solution more appealing to the prospect. Your willingness to work with them and their budget will increase your chances of getting the appointment, and ultimately getting the sale.

The importance of profitability

Critically, if you’re able to show how your solution actually increases profitability, you’ll be more likely to get the appointment and the sale. Customers aren’t as impressed with you saving them money or making them more productive because they’ve heard it all before. If you can prove your solution will increase their revenue or profitability, you’ll have their attention.

Use these tips to handle the next time a prospect hits you with a budget objection!

Further practice to handle the budget objection

If you, your organization, or your partners engage in sales prospecting, a great way to practice and handle this (and many more) objections is through a structured BlitzMasters sales enablement workshop. BlitzMasters empowers, trains, and facilitates sales reps through call blitzes that gain immediate appointments. Our analytics tracking tool allows both the channel marketer and the channel partner to see performance in real-time, along with detailed reports to show ROI. Contact BlitzMasters today to learn more!